Proposed Provision: E3.16. Beginning in 2021, apply 4 percent payroll tax rate on earnings above the wage-indexed equivalent of $400,000 in 2015 (about $480,000 in 2021), with the threshold wage-indexed after 2021. Provide benefit credit for additional earnings taxed, using a secondary PIA formula. This secondary PIA formula involves: (1) an "AIME+" derived from annual earnings taxed only between 2015 wage-indexed equivalents of $400,000 and $500,000, or about $480,000 and $600,000 in 2021 (with thresholds wage-indexed after 2021); and (2) a formula factor of 2 percent on this newly computed "AIME+".
OASDI Trust Fund Ratio
(assets as a percentage of annual expenditures)
| Year |
Current Law |
Provision |
| 2019 | 273 | 273 |
| 2020 | 260 | 260 |
| 2021 | 245 | 245 |
| 2022 | 229 | 231 |
| 2023 | 213 | 217 |
| 2024 | 197 | 203 |
| 2025 | 180 | 188 |
| 2026 | 163 | 173 |
| 2027 | 147 | 158 |
| 2028 | 130 | 143 |
| 2029 | 114 | 128 |
| 2030 | 97 | 113 |
| 2031 | 80 | 98 |
| 2032 | 63 | 83 |
| 2033 | 46 | 67 |
| 2034 | 28 | 52 |
| 2035 | 10 | 35 |
| 2036 | -9 | 19 |
| 2037 | -28 | 2 |
| 2038 | -47 | -16 |
| 2039 | -67 | -34 |
| 2040 | -87 | -52 |
| 2041 | -108 | -70 |
| 2042 | -129 | -89 |
| 2043 | -150 | -107 |
| 2044 | -171 | -126 |
| 2045 | -192 | -145 |
| 2046 | -213 | -164 |
| 2047 | -234 | -182 |
| 2048 | -255 | -201 |
| 2049 | -276 | -219 |
| 2050 | -297 | -238 |
| 2051 | -318 | -257 |
| 2052 | -338 | -275 |
| 2053 | -359 | -294 |
| 2054 | -380 | -312 |
| 2055 | -401 | -331 |
| 2056 | -422 | -350 |
| 2057 | -444 | -369 |
| 2058 | -465 | -388 |
| 2059 | -487 | -407 |
| 2060 | -509 | -427 |
| 2061 | -531 | -447 |
| 2062 | -554 | -468 |
| 2063 | -577 | -488 |
| 2064 | -601 | -510 |
| 2065 | -625 | -531 |
| 2066 | -649 | -553 |
| 2067 | -674 | -575 |
| 2068 | -699 | -598 |
| 2069 | -724 | -621 |
| 2070 | -749 | -644 |
| 2071 | -776 | -668 |
| 2072 | -802 | -692 |
| 2073 | -830 | -717 |
| 2074 | -857 | -742 |
| 2075 | -885 | -768 |
| 2076 | -914 | -794 |
| 2077 | -944 | -822 |
| 2078 | -975 | -849 |
| 2079 | -1007 | -878 |
| 2080 | -1039 | -908 |
| 2081 | -1072 | -938 |
| 2082 | -1106 | -968 |
| 2083 | -1139 | -998 |
| 2084 | -1173 | -1029 |
| 2085 | -1207 | -1060 |
| 2086 | -1242 | -1091 |
| 2087 | -1275 | -1122 |
| 2088 | -1309 | -1152 |
| 2089 | -1342 | -1182 |
| 2090 | -1375 | -1212 |
| 2091 | -1407 | -1241 |
| 2092 | -1439 | -1270 |
| 2093 | -1471 | -1299 |
| 2094 | -1503 | -1328 |
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